8 Best Dow Stocks To Buy According to Hedge Funds

3. Visa Inc. (NYSE:V)

Number of Hedge Fund Holders: 166

Visa Inc. (NYSE:V) is one of the biggest payment technology companies in the world. On May 13, Piper Sandler initiated coverage of Visa Inc. (NYSE:V) with an Overweight rating and a $322 price target.

On May 15, Visa Inc. (NYSE:V) introduced new products and services at the annual Visa Payments Forum in San Francisco. The new offerings include the reinvention of the card product to move with ease between payment methods called Visa Flexible Credential, added features to the company’s tap-to-pay service known as Tap to Everything, new security features called Visa Payment Passkey Service and Visa Protect for A2A Payments, and lastly, its new technology of Pay by Bank for innovating account-to-account (A2A) payments experiences.

In the first quarter, 166 hedge funds held positions in Visa Inc. (NYSE:V) and their stakes amounted to $27.167 billion. As of Q1, TCI Fund Management is the most significant shareholder in the company and has a position worth $4.7 billion. The company is one of the best Dow stocks to buy according to hedge funds.

Wedgewood Partners stated the following regarding Visa Inc. (NYSE:V) in its first quarter 2024 investor letter:

“Visa Inc. (NYSE:V) stock posted a small negative drop during the quarter. In the first quarter, the Company grew earnings per share +11% as payment volume growth was up +8% and cross-border payment grew a solid +16%, adjusted for currency. Beyond their consistent growth and execution, recent regulatory trends have caught considerable investor attention. The Company’s networks and value-added services drive enough economic value to bank customers and retailers that the addressable market for payments should continue growing at a healthy rate for many more years, regardless of recent regulatory changes. Visa’s value-added services can be extended to less-sophisticated, emerging non-Visa networks to help grow the overall payment ecosystem that make up the vast global payment addressable market. For example, not long after debit interchange rates were regulated last decade, Visa began an aggressive push to allow non-bank 2inancial institutions access to Visa’s networks, which helped drive more interchange volume to banks and offset lower interchange rates. This was a key element that spawned the massive “Fintech” industry that exists today. We continue to expect Visa’s scale and breadth of service offerings will help them drive attractive growth at stellar margins along with the overall payments’ ecosystem.”